SOCIAL SECURITY CONTRIBUTION

Southland Times, Issue 24113, 30 April 1940, Page 2

SOCIAL SECURITY CONTRIBUTION

In this issue appears an intimation from the Commissioner of Taxes that an instalment of the Registration Fee becomes payable on May 1, and that on the same date there also falls due the first instalment of the Social Security charge on income other than salary or wages derived during the year ended March 31, 1940. Payment may be made at any Money-Order Office. All male and female persons, including natives, 16 years of age or over must either pay the registration fee or establish a right to exemption m respect of each instalment. All persons entitled to exemption including persons in receipt of an age benefit from the Social Security fund and who are not in receipt of any other income, are reminded that they may be held liable for payment of the instalment unless a claim for exemption is completed and presented together with the coupon book at a Money-order Office within seven days after the last day for payment of that instalment. Failure to pay makes defaulters liable, on summary conviction, to a fine of £5. In addition, a penalty of sixpence a month, with a maximum penalty of 2/6 for each instalment automatically accrues if payment is not made within one month of the due date.

All male and female persons (including natives) 16 years of age or over, are required during the month of May, to furnish in respect of the year ended March 31, 1940, declarations of income other than salary or wages (“nil” or otherwise), and to pay the Social Security charge at the rate of l/_ in the S on such income. A penalty of 10 per cent, is payable on any amount of the charge not paid within one month of the due date. The income derived by a person in receipt of a war pension in respect of total disablement is exempt from the Social Security charge. Monetary benefits from the Social Security Fund are also exempt. The declaration forms are in two parts. Part 1 is the usual form of declaration of income while Part II comprises a declaration of personal particulars for the purpose of the Social Security Register. Both parts must be completed in every case notwithstanding that Part 1 may, in some instances, be a “nil” declaration or may

not be required. Employers also have certain obligations under the Social Security Act, and are responsible for deduction of the wages charge at the time of payment of all salaries or wages paid to employees, including the value of any benefits in kind, such as food, lodging or free house provided and must also inspect the coupon books of employees periodically to ensure that payment is duly effected of all due instalments of the registration fee. Further information about Part 1 may be obtained from the Commissioner of Taxes, Land and Income Tax Department, Wellington, C. 3., and information relative to Part II from the Director, Registration Branch, Social Security Department, Private Bag, Wellington C. 1., or in both cases from any Money-Order Office.